Redington plans Libya launch
Distributor Redington has unveiled plans to build up its presence in Libya. HP has extended Redington’s distribution rights allowing it to sell a range of HP printing and PC products into the emerging market.
Redington is all set to move into the Libyan market after extending its HP distribution rights to cover the territory. The distributor has been quick to jump on the chance of operating in Libya after sanctions were lifted a few months ago and will be authorised to distribute entry level and mid-range printing products as well as low-end PSG kit that does not break embargo restrictions still in effect.
“We at Redington will be the only distributor to offer HP products in Libya,” claimed Sumant Saran, general manager of Redington’s Africa division. “After studying the country we estimate that the market has an attach rate of almost 90% on the IPG side, and with a total addressable market of 80,000 PCs the potential for printing sales is massive.”
Redington plans to use the HP deal as a springboard to establish a distribution network that covers the breadth of the country. The first step for Redington is to open a service operation in Tripoli — scheduled for January 2005. A sales presence will follow three months later, and during the second half of the year Redington will repeat the formula in Benghazi, Libya’s second largest city.
“The Libyan IT channel has not had a proper service setup since the sanctions took effect years back. People have either been cannibalizing what they can from old equipment or bringing in small batches of product from Europe. There is great scope to leverage our service offerings to move closer to local IT players, build relationships and then add a sales team several months later,” added Saran.
Libya has attracted the attention of IT vendors and distributors across the Middle East in recent months. The country is an emerging market with vast reserves of oil and gas and a high level of GDP compared to other markets in the region. Several IT companies based in Jebel Ali have started to export to Tripoli and with HP making a move, it will not be long before other vendors follow suit.